Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
How can you say the tech is sound? It has never been proved at scale. ENVIA was supposed to demonstrate feasibility of this process and currently ENVIA is losing money. In my view the technology has not been proved ECONOMICALLY viable and this is the real issue here.
Just do the math. ENVIA is losing money running at less than 50% capacity. VLS have been funding ENVIA but VLS are not able to do this anymore as they have no money themselves. ENVIA could well close if more funding is not found. Anyone doubting this situation should ask themselves why we have been provided with any output figures for ENVIA. ENVIA owe VLS £13m with no chance of this being repaid any timed soon.
Except in you example, �100000 will have been spent on buying back the shares hence market capitalisation should theoretically reduce to reflect this expenditure. Fundamentals have changed. Share price should not change as a result of buy backs - smoke and mirrors in the City?
I mean RNS.
They probably reached 200bpd on one day, maintaining the production rate continually or for that matter increaing it is another matter. Read the runs carefully.
I assume you mean RINS verified rns. I was referring to operational performance. RINS are a sideshow, relatively small subsidy in relation to cost per gallon upon which profitability will be gauged do the maths
Now we know why there has been no news on ENVIA for months. Results due in 3 days, they had to say something now. But no information on production from ENVIA to date which is what investors require. This problem could take months to fix meanwhile ENVIA most probably on less than half capacity and running up more losses. With no income from ENVIA or no repayment of loan, VLS will need more funds before year end. With a recent massively discounted (ie desperation) Placing, what chances are there of obtaining more funding. This share has been massively overhyped on this bulletin board for months now .
Retireby40 A very good post, but will not be well received by rampers on this board. News of ENVIA progress is very much required. By progress I mean news of profitability or at the very least free cash flow being achieved and the possibility of VLS getting some money back otherwise they are going to run out of funds long before any of these grandiose projects even get off the drawing board..
,Credit for progress made; will automatically follow any progress made. However what progress is being made by VLS in achieving profitability? News of ENVIA output ie barrels produced to date, would be a start. All David Pummel appears to want to talk about is the next big idea.
A proportion of R&D is claimed to be capitalised as was the case in the last F/Y report. Perhaps someone could explain why there is no recording of this expenditure in the cash flow statements under Investing Activities.
You conveniently forget amortised intangibles which substantially reduce NET capitalised development expenditure to 14% of total R&D expenditure (interims) and 17% of total R&D expenditure (finals). Amortisation of intangibles being $11.331m (interims) and $$18.201M (finals).
I don't think your calculations include fixed costs eg admin costs and depreciation etc.
Mr. Oozi Cats, the Company's Chief Executive, purchased 400,000 ordinary shares of 1 pence each in the Company ("Ordinary Shares"), at a weighted average price of 171.87 pence per Ordinary Share. This represent £687,000 investment! He evidently thought that the shares were oversold at 171p. There would appear to be no reason otherwise for him to make this investment. He did not have to buy these shares his earlier sales at that time were water under the bridge. If there had been any questions regarding the accounts he would surely have known. Any comments.
To add to your comments about internal R&D costs being capitalised. Nobody question purchased intangibles (ie external R&D) obtained from the takeover of other companies. This is normally capitalised. What is the difference?.
After several producers flagged lower production expectations over the course of the past month iodine spot market participants noted a slight increase in prices this week. Iodine spot market prices moved up slightly 20 April amid a "battle of cents" which has slowly lead to a slight improvement in the market. Iodine (crystal, 99.5%min, drums) prices moved up on the low end to $19-21/kg on a spot basis from $18.50-21/kg previously. http://www.indmin.com/Article/3711376/Iodine-spot-prices-move-up-slightly.html